The South African Nuclear Energy Corporation (Necsa) has reported a net profit after tax of R125.2-million for the financial year to March 31, 2025, while Cabinet has appointed a new board following a recent spate of resignations that left the board inquorate.

Addressing the Parliamentary Portfolio Committee on Electricity and Energy on October 15, CEO Loyiso Tyabashe reported that the Necsa Group had also achieved an unqualified audit opinion having failed to do so since 2020/21.

Three of its subsidiaries, including NTP Radioisotopes, NTP Logistics, and AEC Amersham, also received unqualified audit opinions, while Pelchem received an unqualified audit opinion with some findings, and Gammatec received a qualified audit opinion.

Necsa reported that its radioisotopes subsidiary NTP posted a net profit after tax of R118.3-milion, while its fluorochemical subsidiary Pelchem reported a R28.82-million loss for the year.

Confirmation of the results, which are up from the R108.6-million profit of the previous year, follow on from recent governance issues at Necsa, which resulted in the resignation of five board members.

In the interim, governance authority had been delegated to Tyabashe, who, together with CFO Precious Hawadi, was at the centre of the salary dispute that triggered the board resignations.

Some board members had raised questions about the way salary increases had been implemented, which initially played out in the form of a legal tussle between the two executives and the board before culminating in a Ministerial intervention.

Electricity and Energy Minister Dr Kgosientsho Ramokgopa announced last month that he had decided to accelerate the appointment of a new board, which was scheduled for rotation in January.

At its meeting on October 15, Cabinet approved a new board, that would continue to be chaired by David Nicholls.

The other board members named are: Dr Vuyo Mthethwa, who will be deputy chairperson, Dr Derik Wolvaart; Dr Khensani Xivuri; Ismail Lambat; Dr Pulane Molokwane; Eugene Julies; and Phumelele Dlungwane.

Tyabashe told the portfolio committee, which raised very few questions for Necsa during the briefing session, that the results provided a “good base to launch our growth plans”.

These included extending the life of the Safari-1 research reactor which produces medical isotopes, and building a new multipurpose nuclear research reactor.

In addition, he said Necsa aimed to re-establish the front-end nuclear fuel cycle and position itself for the development of small modular reactors.